Skip to content
March 28, 2024

Equity.Guru

Investment information for the new generation

Search

Invictus MD Strategies (IMH.C) inks definitive option deal with late stage ACMPR applicant

Invictus MD Strategies (IMH.C) moved further in its mandate when the company announced last Friday that it had entered into a definitive option agreement with a late-stage applicant (“OptionCo”) under the Access to Cannabis for Medical Purposes Regulations (“ACMPR”) to purchase 100% of the outstanding shares of OptionCo.

According to the news release, OptionCo had its pre-license from Health Canada earlier in January and expects to receive a license to cultivate under the ACMPR in short order.

OptionCo has a 60,000 square foot of secured perimeter for its current production facility located on 150 acres in the province of Alberta.

The company also has plans for expansion once it has received its cultivation license.

Under the deal, Invictus has sole option to exercise within 30 days after OptionCo receives its license.

The exercise price will be a cash payment of $4.0 million, 21.0 million common shares and 3.0 million warrants at an exercise price of $1.50 per warrant.

One million of the warrants will expire in six months following the date the Option is exercised. One million warrants will expire 12 months following the date the Option is exercised and one million warrants will expire 18 months from the date the Option is exercised.

Dan Kriznic, Chairman and CEO of Invictus, commented, “From day one, we have been very clear: to acquire production capacity under the ACMPR is a key driver to increasing shareholder value. Given our ability to aggressively expand the commercial scale of the OptionCo property, we will make key capital investments that enable us to rapidly ramp up production capability. With OptionCo and our combined long-term capacity from our 33.33% stake in AB Laboratories Inc., a Licensed Producer under the ACMPR, and our 33.33% stake in AB Ventures and binding LOI with PlanC BioPharm Inc., now in the late stages of the application process, we are very well positioned to become one of the largest producers of cannabis in the Canadian sector.”

 

 

FULL DISCLOSURE: Invictus MD Strategies is an EQUITY.GURU client.

 

Related Posts

Leave a Reply

Your email address will not be published. Required fields are marked *